Local news reported Friday that Essar Steel Algoma will lay off around 100 workers temporarily—although the company is not sure how long the layoffs will last.
Essar Steel Algoma's manager of corporate communications, Brenda Stenta, told media that the company does not anticipate near-term market recovery and is "curtailing costs and flexing production levels to match current demand."
Kalyan Ghosh, president and CEO of the company, has said previously that dumped imports have "wreaked havok" on North American steel markets. That, combined with a weak energy sector, has “perpetuated a steady decline in both steel pricing and demand that is being felt throughout the supply chain,” Stenta said.
The company said it is optimistic that the affected workers will be welcomed back once market conditions improve.